Five Ways to Respond to an Insurer’s Low Settlement Offer

You may have succeeded in proving the other party’s liability for your injuries after an accident. Still, it doesn’t always get easier moving forward. Dealing with an insurance company can be both challenging and exhausting. Most insurers give low settlement offers that are not fair to the victims.

Fortunately, you do not have to settle for a lowball offer. With a good attorney, you can respond to an insurer’s low settlement offer and get the offer you deserve. Negotiation is the key to getting a fair settlement. Having an attorney deal with the insurers makes this easier for you.

Table of Contents

How to Respond to an Insurer’s Low Settlement Offer?

1. Remain Calm

Staying calm and professional is the best way to deal with an insurance adjuster even though you feel like the settlement is unfair. Although most people think that insurers want to take advantage of them, it is important to remember that the initial offer is only the starting point of the negotiation.

Getting angry and being unprofessional may hurt your ability to obtain fair compensation. Inform your attorney of the offer as soon as possible and leave the negotiations to them. Your attorney will be in a better position to get you a better settlement.

2. Ask Questions

After you receive your offer, you and your attorney should carefully analyze the contents of the offer. Find out why the insurance claims adjuster evaluated your case the way they did. Your attorney should also call or email the claims adjuster with specific questions that break down how they settled on the offer.

If your claim is denied, your insurer should offer a valid reason. By asking the relevant questions through your attorney, you will get all the information you need to make a counteroffer.

3. Present Your Evidence

After an accident, documentation of injuries is critical. Your documents can be used as evidence to support the value of your claim. Ensure you have proper documentation of your injuries, medical costs, lost wages, and other damages.

With the proper paperwork, you will be able to confidently state the amount you believe is fair and reasonable to cover your damages. Presenting concrete evidence could force the insurance claims adjuster to give a better settlement offer.

4. Develop a Counteroffer

Your attorney will create a counteroffer based upon the amount you deserve in compensation. They will consider things like medical treatments, pain and suffering, and other injuries you may have suffered. During this negotiation stage, your attorney will determine what minimum offer you should accept. If you do not reach an agreement, you can take your claim to court.

Before rejecting a settlement, it is essential to note that the insurer may consider the limits of the available insurance policy. The personal assets of the responsible party are also considered if the insurance policy limits are not high enough to pay for the value of your injuries.

5. Always Respond in Writing

Reaching an agreement with your insurer is not always guaranteed. Having written communication between you and the insurance company documents all correspondence. These documents may be helpful if your case goes to trial. Include all your evidence and your counteroffer in your response letter.

Don’t Settle for Less

You deserve fair compensation for any injuries or damages you may have suffered. No law requires you to accept an offer from an insurer if you feel it is not fair. Approaching low settlements in the right way will guarantee that you eventually get the offer you deserve.

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